Roll-over amounts:

Section 9 of the Act deals with ETI available amounts which has been roll-over (excess ETI) either due to —
• ETI available amount exceeds the PAYE for the relevant month;
• employer not claiming the available ETI amount in the specific month
• employer is limited on claiming the ETI available amount due to the outstanding tax returns and/or debt.

At the starting of each reconciliation period (i.e. 1 September and 1 March), the excess amount is deemed to be zero in terms of section 9(4). The excess amount at the end of the reconciliation period will be dealt with by SARS as a refund to employers.

• At the end of each recon period (e.g. August and February), the ETI brought forward amount is deemed zero for the beginning of each recon period (e.g. September & March).
• This amount carried forward at the end of each recon period is claimed as a refund by completing the EMP501 reconciliation return.